Does style drift mean deviating from the assigned mandate or deviating from the assigned style? If a manager’s mandate is unrestrained value added and he switches from value style to growth style, does he exhibit style drift?
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From what I have read, it means deviating from the assigned style. Thus if the manager is shifting from value to growth style, he is exhibiting style drift.
Style drifting is the deviation of the benchmark from the market. Remember, the portfolio return breakdown is [P=M+S+A].